TwoBrain Marketing Episode 10: Cody Ringle

TwoBrain Marketing Episode 10: Cody Ringle

Today we are joined by Cody of CrossFit ColdWater and CrossFit Angola. We hear about his first experiences with CrossFit and how he turned $250 dollars in ad spend into $5,500 worth of revenue. Cody was first introduced to CrossFit by his older brother in 2014. At the time, Cody was overweight and out of shape and he almost didn’t come back. When he did come back, it took only a couple of classes and he was hooked. Today Cody owns two CrossFit gyms and is committed to improving the quality of people’s lives through strength and conditioning. 

Cody purchased CrossFit Coldwater in 2015. Two years later, he was broke and so stressed that he developed Bell’s palsy. He tried mentorship with a different group, but didn’t get much from it. Then he signed up for the Two-Brain Incubator and everything changed.

Mateo:                                      00:00                       I’m Mateo from Two-Brain marketing. And on this edition of the Two-Brain marketing podcast, I’m telling you with Cody from crossfit Coldwater and crossfit Angola. You’re going to hear about the first crossfit class he ever took back in 2014 and how after just one year, one year later after taking that class, he became the owner of his own affiliates. We’ll also learn how he turned $250 in paid ad spend and he took that and turned it into $5,500 in new member revenue. So make sure you subscribe to Two-Brain radio for more marketing tips and secrets each week.

Announcer:                            00:35                       This episode is brought to you by InciteTax. Incitetax is founded by John Briggs, a crossfitter, a great big tall guy with a fantastic sense of humor and John is like a coach for your books. These guys are not just pencil pushing number crunchers. These guys will actually help you get towards your perfect day if you’re a member of our Growth stage, part of the mentoring program. You’re familiar with John’s videos on 1099 versus W2 contractors. See John used to work for the IRS. He’s seen the other side of labor law and he knows exactly where the line is drawn. Don’t believe everything you read, but on the tax side, John can actually help you plan to take home more money every year and save more money on taxes because John is a certified profit first accountant. If you’ve listened to this podcast before, you know that I’m a big fan of Mike Michalowicz’ profit first system and John at Incitetax and his staff can help you plan backwards from profit to get to where you need to go. It’s helped members of the Two-Brain family buy houses in the first year that they’ve implemented profit First. It’s helped people save more money, take home more money and make the business do what it’s supposed to do, which is pay you.

Mateo:                                      01:44                       Hello, welcome to the Two-Brain marketing podcast. I’m your host, Mateo Lopez. I’m one of the digital marketing mentors at Two-Brain business and this is your weekly dose of digital marketing magic. Every week we go over arching campaign strategies, useful tips, updates to keep you in the loop on the ever changing landscape of advertising on the Internet for Your Business. In today’s episode we have a special guest, Cody from fortitude, strength conditioning, which is the home of crossfit Coldwater. He’s also the owner of crossfit Angola. And you’re going to learn a little bit more about him and his experience. He’s someone who’s also tried different consulting companies and mentorship companies. So hopefully we’ll hear more about his experience there and, and what it’s been like transitioning in working with some of the systems we have at Two-Brain and also learn more about his paid advertising system, how he was able to generate some, some pretty cheap leads and, and, and some new members. So welcome.

Cody:                                         02:37                       How are you?

Mateo:                                      02:38                       I’m doing well.

Cody:                                         02:38                       Thanks for, thanks for having me on.

Mateo:                                      02:40                       No worries. So, so for those listening, tell us a little bit about who you are, where you’re from and in and you know, what’s Your Business? My name’s Cody Ringle from Coldwater, Michigan. Uh, we’re just north of Indiana, only about 13 miles up. I have another gym in Cross crossfit, Angola in Indiana, about 25 miles south. Oh, I have a really awesome partner down there who runs the day to day. Um, he’s the face of the gym named Seth. He went through the, uh, went through part of the incubator with me.. Really good guy to have in place down there. Makes that really successful. I started this whole crossfit thing about 2014 and very much like everybody else, you know?

Mateo:                                      03:25                       Yeah.

Mateo:                                      03:27                       That was right at the hockey stick.

Cody:                                         03:29                       Oh yes. Well, I started when I started, I did my first crossfit class and I remember it was something very simple. You know, it was like five rounds of some pushups, lunges, and ring rows. I didn’t make it through the entire workout. I thought I was gonna throw up. I didn’t come back for three months. Uh, when I finally did, I just, I loved it. And I, six months later started coaching in the thing at the affiliate that I was going to and started to grow a pretty good relationship with the owner there.

Cody:                                         03:59                       Um, he became one of my first mentors. And probably about six months after I started coaching, I got a call from him one night and he’s like, Hey, meet me up at Buffalo wild wings. Let’s have a beer.

Mateo:                                      04:12                       Nice.

Cody:                                         04:13                       S o we stopped. I stopped up there and had a beer with him and he just, he told me he felt like, uh, you know, God was calling him in a different direction and he was either going to sell the gym to me or he was going to close the doors.

Mateo:                                      04:24                       So was that cold water?

Cody:                                         04:26                       Yeah, that was crossfit coldwater–it used to be crossfit pursuit. So I ended up thinking about it a little bit and obviously it was something that I wanted to do. I was bit by the bug and, and I want it to be a part of this thing. So I ended up basically purchasing from him, his equipment and the members that he had at the time, which was somewhere between like only 30 and 40.

Cody:                                         04:46                       So we had like two classes a day. It wasn’t a big thing. Um, and grew, grew from there. I brought a couple of partners with me. They have since exited the business. I wouldn’t be here, you know, where we’re at right now without their, without their input and their help throughout the time. And for me, this really took off for the first two years that I did this, this coaching and ownership thing. It was very much, uh, kind of just a thing to do. And it was like, yeah, I’d love to run this full time and I’d like to eventually get there at some point in time. But I had a full time job.

Mateo:                                      05:22                       Let’s talk about that for a second. When, so when did you actually purchase the gym?

Cody:                                         05:26                       2015 January of 2015.

Mateo:                                      05:29                       Took your first crossfit workout 2014 and bought your first crossfit gym a year later. That’s pretty fast turnaround. And then so, and you had a full time job too?

Cody:                                         05:41                       Yes.

Mateo:                                      05:42                       Jumping into entrepreneurship, you know, it’s not for everyone. What kind of made you want to go in that direction?

Cody:                                         05:48                       I felt I was a, you know, I played sports in high school and I played rugby in college and I really enjoyed the competitive side of it. So very much like everybody who got involved in 2014 about that, the early teens or so, like the, the competition side was what I loved. And I slowly, I slowly kind of fell in love with the ability to change people’s lives. It’s, that’s I think a story I hear all the time from people. I started seeing people finally talking about how hey, I feel, I feel a whole lot better when I do this thing. So we fell in love with that aspect of it and I was lucky enough to have a couple of partners who could help kind of balance the load at that point in time. So it was able to be kind of a part time gig.

Cody:                                         06:28                       But when we started, you know, the goal was always to kind of make this more of a, of a standalone business and operate on its own. So my, uh, in December 18th of 2016 I lost my father. I came home on a Sunday and he was, he passed away on my couch and that was a real turning point for me. Um, that hit me really hard and it made me really realize that this thing is short and if I keep putting this off and I might never get to it. So it was just after like the Murph, five months later, I stood up on a box in the middle of the gym and I said, hey, January 19th is going to be my first day full time at the gym.

Mateo:                                      07:07                       Was it ready to take you on full time a year?

Cody:                                         07:09                       I need to just stop my job and just do it. We both, we had just secured a contract with cold water high school to manage their strength and conditioning for their entire high school for three years. Yeah. So there was some revenue coming in from that. The Gym, we were clearing $5,000 a month. We were, and that was, that was our gross. We were not in a position to support anybody full time. So, I mean, my first six months I made about 10 grand, you know, that’s what I brought home. So it was very much like a, I got to do this and I know I got to struggle for a little bit and try to build this thing up. Um, or else it was just going to be a hobby all the time. So kind of just jumped right into it. Very much like the ownership and the coaching thing, you know, That’s how most of us have gotten into where we are. We just kind of took the plunge. And it was the best decision I’ve ever made. I mean, it’s been a very stressful and, and challenging couple of years, but it’s led to a tremendous amount of growth. And I’ve had a wonderful opportunity to work with some, some different coaches throughout the years, and then some other consulting firms. And I started the incubator back in March of this year, so, or February, excuse me, finished it at the end of March. And in programs that I had been with before, it was, it was very clear that they had a template and things that they wanted you to do, um, milestones to hit. And there was no room for really adaptation for where I was at in my business. I had worked with the firm I was with before for, for two years as they made transitions.

Cody:                                         08:46                       And then I went through their foundations program, which I had the first five calls that I had with them felt almost entirely worthless because he’s like, okay, we’re going to work on your intro session today. And then he’s like, here’s what I want you to do. I was like, all right, let me tell you what our intro process looks like. And I laid it all out for him. And he goes, yeah, that’s, that’s exactly it. And I said, okay, so what do we talk about now for 40 minutes? And it was just, it just, it wasn’t where I needed to go. I’d probably outgrown that and what they had to offer. The first call in the incubator man, I got on it with uh, with Jeff Larsh or actually my first couple of calls were with Ashley Mak and my first incubator call with Jeff. I got off of it and I looked at my, my partner in Angola and I was like, this is going to be the best decision I’ve ever made. Yeah.

Mateo:                                      09:32                       And I guess what was the deal? Is it just that you were not receiving, I guess the personalized coaching that you needed for where your business was that or is it just, it was not being challenged enough for,

Cody:                                         09:45                       it was, they had kind of, it was kind of their, their Beta program for the foundation’s deal. So it was their second run at it and it was just, it was very clear that there was kind of a, you know, almost for my mentor there was like a script and bullet points to follow. There was very little adaptation. It was like, Hey, these are the things we need to get done on this call today. And that’s the scope of what we’re going to do. And every call that I’ve been on with Jeff, it was like, all right, sweet. No, that’s good. Let’s move on. Let’s work on something else. I didn’t have that before. I just don’t know if the process was refined in the way that, you know, Two-Brain has it refined. So I’ve just found a tremendous amount of value in having somebody who can look at the business that I have right now and tell me exactly where I need to go to to get out of this, this founder phase that I’ve been in for, for, for four years.

Mateo:                                      10:38                       So talk to me a little bit about that. Right. So it sounds like, you know, what motivated you to make the switch? You said you’re kind of in the founder phase, you’re kind of feel like you’ve been stuck there. What motivated you to, to, to want to get out of that and, and then how has it changed since working with, with Jeff and, and, and going through the incubator?

Cody:                                         10:57                       Yeah. One of the big motivators for me was, you know, this year, uh, tomorrow I turned 30. So

Mateo:                                      11:04                       Nice. Happy Birthday.

Cody:                                         11:06                       Thank you. It’s, I’m not a a 25 year old who can continue to be a martyr in this thing and not making any money. I’m, one of the biggest revelations that I had with Jeff was I got off one of our calls and I just, I was finally excited about how much money we were going to make. And that’s nothing, that’s not a Lens I’ve ever looked at this thing through. I mean, I started, you know, I, I, when I started coaching, it was a trade for membership deal. It was, it was, I spent years donating my time and pouring personal money into this thing just so finally I was like, okay, this can be sustainable. I had had some, um, you know, some employees on like full time before, uh, in 2018. And the deal was I was tired of missing paychecks. I would make sure that they would get paid. And then at the end of the month, there’d be, you know, nothing left. Yeah.

Mateo:                                      11:58                       You get whatever the scraps leftover over if you’re lucky.

Cody:                                         12:01                       Right. And if you don’t have a crazy expense that pops up. So I was personally tired of that and so I took my own personal, you know, it’s all your personal money when you own the business, but I took my own money and I invested in the incubator. I didn’t pull that out of the business. I did that, you know, from money that I arguably couldn’t afford at the time. But I had heard one thing earlier on in my, uh, somewhere in 2018 it says, if you can’t afford it, then that’s exactly what you need to be doing. If you feel like you can’t afford it. And that’s exactly what I did. I was like, okay, let’s go, let’s do this thing now since starting just, I really big on the process and the path to mastery, that’s kind of laid out before you, we preach that in our gyms all the time. Right. People want to get a muscle up. We’re like, hey, here’s the path to get this thing. I had never had that for my business. I’ve, I started this thing because I enjoyed coaching and I loved Christ and I wanted to help people. I had no idea what I was signing up for when I stood on that box and said, hey, I’m going to go into this thing full time. I thought I was going to coach and chill. Boy was I wrong?

Mateo:                                      13:07                       Yeah. Yeah. You think, yeah, I’m going to coach some classes. I’m going to help some people and then we’ll chill on the couch. We’ll train together.

Cody:                                         13:16                       Yup. And then it’ll all be great. I’ll bring my best friends in here and we’re just going to train all day and then we’ll coach sometimes. Yeah. That’s just not how it worked out. And then, you know, I get hit with stress like everybody else and then it really hit me over the summer of 2018 I got Bell’s palsy. Uh, I don’t know if you’re familiar with that, but it’s like a mixture of stress and inflammation and a nerve. And this side of my face paralyzed. So I was like this, I was like this for two weeks and wow, it could come back, it might not. It might take two weeks, it might take a year. And I finally sat my coaches at the time down. So Seth, who’s my partner in Angola started here full time with me as a coach. It was kind of an opportunity for us to work on building that thing and teaching him the backend stuff for the business. And I was like, look guys, something needs to change. I can’t do this anymore. And really at the beginning of this year, I told myself, I was like, I either have to like start making some money at this thing or I got to get a real job. I mean this is a real job, but when you’re making

Mateo:                                      14:16                       I, yeah, I get what you’re saying.

Mateo:                                      14:17                       When you’re making, you know, 1000 bucks a month, it’s hard to support anything like that.

Mateo:                                      14:22                       And we’ve talked to a lot of gym, like we talked to probably over 130 gym, gym owners, a a month when they’re inquiring about the service. And it’s just like everyone pretty much in the same boat, you know, when they have heard the same story a lot and it’s, you know, it’s, and that’s why we do what we do because everyone gets into it for the same reason that you just said, right. We want to just help people. Yes. We have this thing that we’re passionate about. We see it as a really effective tool for changing lives and we’re just trying to put that in the hands of as many people as possible. But it’s tough when you, yeah. When you’ve never had to build systems before to build something that’s can be a process that can be repeatable and manage people, um, which can be sometimes the hardest part. So, so, okay. So you, you reached this breaking point and then I know you started to touch on a little bit about the systems, but how have you seen things things change?

Cody:                                         15:15                       I finally have some SOPs or you know, like a lot of gym owners, I’m used to doing all the things and wearing all the hats and I’ll coach and then I’ll do the marketing and the Facebook and uh, clean the toilets and absolutely right. Put the mats away. Hundred percent spend an hour vacuuming every night, you know, and I just, I always thought that’s what you’re supposed to do. You know, you’ve got to grind and you’ve got to work 14 hours a day and if you don’t sleep at night because you’re stressed out, well that’s part of the game, man. You know, you’re supposed to suffer a little bit grind in. Yes. Right. And then you get Bell’s palsy. So, but I got, you know, I just got to the point where, okay, Two-Brain laid out a path for me to start implementing these things and building these things out. And it really helped me realize that I don’t have to do every single thing by myself. And if I document it in the right way, a lot of my, my fears with, with, with, with a lot of entrepreneurs I think especially in this space is we’re afraid that if we don’t do it, it’s not going to get done in the same way.

Mateo:                                      16:12                       Yeah. It’s not going to be the way I needed to get done. No one knows how to put these mats away so that it fits on the shelf. And like I do, no one’s going to like clean the toilet the way I know how there’s the thing in the back that needs to get fixed. You always want to coach this person of correctly, cause I did their intro and I know that they have a bum knee. Like no one’s going to be able to do it quite like me.

Cody:                                         16:30                       Yup. Yeah. That’s the, that’s the fear for sure. And I took that into every aspect and it was almost, it had got to the point where I was like, you know, I had a couple of full time coaches early on in 20 in the summer of 2018 and it got to the point where after we were done with the summer and the strength and conditioning for the high school, it was like, okay, what do we do now? Cause we went from having an 11 classes a day to five classes a day and there was a bunch of hours that needed to be filled and I had no systems built out so I had nothing. I was like, ah, you know, just do the things that I would do. Through Two-Brain I now have the ability to be like, okay, these are the things that I need you to do and this is exactly how I would like them to be done. And if it’s a, if it’s a small deviation from the exact way that I would do it, dude, it’s still 99% better than it would be if I said, hey, go do this thing for me. Yeah.

Mateo:                                      17:21                       Now your time is freed up so you can refine it so they can get closer to being the way you want it to be done. Yup. Which I think is how you level up out of that founder phase.

Cody:                                         17:31                       Yeah. And I can now focus on the higher value things like, uh, you know, I can focus on the sales process and the, and really refining the No-Sweat Intros, and we can have these bigger conversations about, okay, how do we make foundations better? One of the things that, that we did over the incubator was I used to, uh, give foundations away.

Mateo:                                      17:50                       Well, yeah, yeah. We hear that a lot.

Cody:                                         17:52                       Yeah. I got on, we talked about foundations. I was on my call with Jeff and he’s like, here’s what you’re going to do. You’re going to start charging for foundations and you’re going to charge 165.

Mateo:                                      18:01                       They start panicking because like, no one’s going to be a little floored. It no one’s going to stay.

Cody:                                         18:06                       He’s like, do you think that’s something you can do? And I was like, yeah, I think so maybe. Right. My very next no sweat intro sold a foundations and I went, holy crap, we can do this. Yep. I ran that first foundation and one thing that I can say it was, it was one of the best foundations that I have ever done because I now attached the value to the thing. Even as a coach, I’m like, they’re paying extra money. I got to bring it, man. I gotta do the best that I possibly can. Not that I wasn’t trying to do that before, but in a way, yeah,

Mateo:                                      18:37                       totally different. And especially for your, if you’re not even doing it right now, if your coaches are going to be doing now, you can compensate them for it. It’s a whole, absolutely. Whole other ball game there. Yeah. Which I think is really what you said is really, really important. Amazing. So I guess let’s, and then in your, let’s see if we can, let’s talk about that a little bit more. You’ve been talking about no sweat intros in your own words, what is it that you sell and how do you sell it?

Cody:                                         19:01                       We sell bad-ass 90 year olds, right? I want health and fitness for everybody that we work with. One of the things that I have, I get to have these conversations. I get to sell solutions to problems. I’m not selling a gym membership. This is one of the biggest things we’ve had to overcome and that’s huge. Yeah, this is one of the biggest things we’ve had to overcome just as a, we’re, we’re a relatively small town, I think there’s like 10,000 people in cold water and there’s a couple of, you know, traditional gyms selling memberships for 20-30 bucks a month, two year contracts, nobody bats an eye. We’re the highest priced crossfit affiliate in the area. So to have a conversation with people and to sit down and be like, all right, our membership, you know, our foundations is going to cost you between 165 to $265 a month.

Cody:                                         19:46                       Our memberships are $120 a month. A lot of them are like, but the gym down the road is 35 and that’s a whole lot cheaper. So I’ve had a really great opportunity to kind of inform these people on the value that we’re going to provide and the difference. And that’s I think a huge disconnect. And one of the problems with the whole fitness thing as a whole right now is the planet fitnesses of the world are selling this thing for 10 bucks a month and give them free pizza. But, and we’re, we’re over here asking for 125 for what people perceive to be a similar service and it’s not at all. So I get to like layer in the education process now through our No-sweat intros and just getting to sit down and have conversations with people. And even if they don’t buy from me on that day, we’ve got to have that higher level conversation and now they at least understand that we’re not even playing the same game as the traditional gym down the road.

Mateo:                                      20:38                       Yeah, I think it’s important that a big part of the, the, the consultation, the intro processes. Yeah. You’re doing a lot of educating for a lot of people. Yeah. And I think that’s for those who are kind of not afraid of selling, but who have not the most positive feelings about selling leave. You approach it the way you just said where you’re, you’re, you’re, you’re offering solutions.

Cody:                                         20:59                       No, it’s not, I’m not trying to sell this PT package. I’m, I’m trying to sell a solution to, you told me you have bad knees and you’ve haven’t been able to work out cause okay, well then we’re going to fix your bad knees, but it’s going to, it’s going to take this, this and this. Yes. Uh, you know, so I think, I think that’s key. And one of the things that I kind of got from one of the things I kinda got from Blake

Mateo:                                      21:18                       Who is Blake?

Cody:                                         21:20                       He’s my Marketing Mentor at Two-Brain — is we were able to have, you know, a couple of conversations over our calls and he’s like, you almost have a duty to, to sell this to these people. Because if they’re not with you, they’re going to go back to doing what they were doing before and not being successful with. And if you don’t position this in a way that, that you’re going to be able to help them, then I fail on my part and I’m losing the ability to change one life. And in a small town, that’s a lot. Even in a big town, that’s a lot. It’s a, it’s an awesome opportunity that we have as affiliate owners and we owe it to the people that we’re working with to, to up our game and be, become better at selling this thing.

Mateo:                                      21:57                       Well, and there, you know, every time they opt in or send you an email, find your website, like they’re raising their hand and they’re saying, I need help with something. Yeah. So, you know, that’s, that’s really all, that’s how I try to teach sales. Like you’re just responding. This person’s essentially a cry for help, you know that they’re asking for help and you’re offering a solution to that problem. And you mentioned Blake, so walk us through if you can, the, the work that you’ve done, the paid advertising system that you’ve been able to set up.

Cody:                                         22:27                       Yeah. So one of the coolest, I think things for me as a, as a small business owner is the education aspect. So I have now gotten to learn the systems and the processes and how to do these things well with, with, with Two-Brain marketing, you know, their guidance. It was something that had been touched on in previous, um, with previous companies that I had worked with. But theirs was very, I guess, proprietary. It was very like secret, you know, hey, we’re going to do this thing, but we’re not going to show you how, because I don’t want you to go and reproduce it. It was the exact opposite. It was total transparency with Two-Brain. It was like, hey dude, if you learn how to do this, you’re going to be successful. And if you’re successful, you’re going to tell other people about what. So it was coming from kind of more of a growth mindset then that fixed scarcity mindset, which I loved so much.

Mateo:                                      23:16                       Yeah, that’s how, that’s what I’ve said this before on his why I designed the course the way I did. Like, I don’t think this stuff should be secret. Like I think, yeah, I think everyone should know how to use the Internet to generate new business. Like I think everyone should know how to do this for themselves. You know? I think once you learn it, if you want to, you know, at some point down the line when your business is big enough handed off to someone on your staff or a third party, like you can do that, but you still have to, like you said, you need to develop mastery over this, this part of your business. I mean digital advertising and paid advertising and marketing paid or not like it’s, it’s the key to your growth, so why wouldn’t you want to be in complete control of that and know how to do it for yourself?

Cody:                                         23:57                       Right. As far as the building out the ads, I had a ton of help from, from Blake. He basically said, hey, these are the things that I’m doing that are working really well for me, and the dude was awesome enough to pretty much give it to me. He’s like, all right, here’s what we’re going to start with. And I’ve only been running ads for about two weeks now. We started our, our, our first paid, ads two weeks ago. And you know, like I said before, I had installed Facebook pixels before, but I had no idea what exactly they were, what they did or how to, how to use them. So I had a little bit of like competency from stuff that I’d worked with before, but no real understanding. And I had never done any sort of metrics like this perfect example, the only about a week into these paid advertising, these paid ads.

Cody:                                         24:41                       I was looking at the amount of leads that we were getting. I was looking at the No Sweats booked and the clients that we closed, we had something like 55 leads and had only closed about seven clients. And I sat here one day just all in my feelings and I’m like, am I really a terrible salesperson? I’ve had 30 people come through the door and I’ve had 23 of them tell me that it’s priced too high. It’s not for me. I’ll think about it. I got to talk to my spouse and I’ll be back. Right. And I just was like, man, I must really not be as good as this thing as I had originally thought I was. And I stepped away from that for a second. I put everything in my big sheet to calculate metrics and then I rewatched some of the videos and you’re like, you were talking about a close rate of 11 or 12%. You’re like, this is really good. And that’s right where I was at. And I’m like, all right, this is a lot better than I had thought it was at the time. And then I saw the total revenue and I’m like, holy crap. We’ve brought in in front end revenue. I’m a quarter of what we made last month. We brought in more front end revenue over this two weeks more than the gym made when I took over full time two years ago.

Mateo:                                      25:47                       Wow. That’s awesome.

Cody:                                         25:49                       It’s, it’s been nothing like short of a crazy success. Right? I mean, we’re paying $2.69 a lead as of Monday.

Mateo:                                      25:56                       That’s awesome, man. That’s great. Yeah, and I think, I think dealing with colder traffic too is it’s a different kind of mindset and you do have to look at it a little bit more. Yeah, exactly what you’re saying it to look at the numbers. Say, Hey, if I can get 70 or 80% of these people to that are inquiring to, to come to the book and then if I can get 70 to 80% of the people that come in and talk to me and then from there, as long as I can close, you know, half of them I’m having a really good return on my ad spend and I think that’s, that’s what’s a little bit different than organic for sure. Awesome.

Cody:                                         26:26                       That was definitely a hard thing because you know what, I’m used to people coming in who are highly motivated and they’ve experienced the know, talked with people before and they’re like, yeah, I’m ready. I’m ready. When do we start? Let’s go. And it was just a much different experience than when it was a great learning process for me.

Mateo:                                      26:40                       Yeah. But in those, in those scenarios, right. Half the selling’s already been done for, you. They have talked to a friend or they’ve researched crossfit on their own or they’ve watched videos from HQ or the journal like that’s, that’s half the selling already happening for you. So yeah, it’s just a different, it’s just a different mindset, a different approach. And what I like to tell people is like this paid advertising route should be just one part of everything else that you’re doing, right? Yeah. And you should continue to be doing your, your outreach and your, your events. You should continue to outreach directly to, to to members and ask them for hey is or your husband or someone who might be interested in this as well. Like you should continue to do everything else that you’re doing advertising. Just one other piece to bolster your business and your growth. Having the coldleads is something that has helped me kind of refine my toolbox and get better at this.

Cody:                                         27:28                       Just having conversations with people about what we’re offering because it’s, I mean, we went to a 30 minute No-Sweat intro, and before we did an hour long, it included a workout. We went to that 30 minute, no sweat. So you’re really just just sitting down and learning about people and just shutting up and listening to them, uh, for 20 minutes. And then you get an opportunity to be like, awesome. I think that you know what you’re going through, we can really help with here’s what we have to offer and here’s the value that we’re going to provide. And this is why we’re different than anybody else in this space right now. And based on what you told me this is, this is the path you. Yeah. So the cold traffic has really helped me refine the message and I, I, I appreciate it. It’s helped me sharpen my iron and develop and I love that part of it.

Mateo:                                      28:10                       Awesome, man. Well, I think we’ve touched on this pretty much throughout this whole conversation, but I mean it sounds like you’re doing great. It sounds like you’ve been able to, to really level up out of that founder phase and you’re seeing some awesome growth so far and it sounds like you can continue to do that. You’ve put your, your partner at Angola through some of the process. Sounds like his business is changing to what, you know, what do you think has been the key to your success so far?

Cody:                                         28:34                       Probably as a business, as a whole. Caring about people just trying to come from the position that we can help where everybody talks about it in CrossFit. The community is what a is what people people stand for is what they come back for. Everybody, you know, you start from the workout and you stay for the people we have over the last couple of years, you know, gone through some, some tough stuff in, in coldwater with, you know, coaches leaving and uh, ownership, uh, departing.

Cody:                                         29:04                       And it has really allowed me to, to sit back and step back from this thing and say that, okay, you know, the community here is unlike anything that I’ve ever experienced or especially in it in a gym, you know, I mean, I played college sports in high school sports and I, we got some really good friends. The best relationships that I’ve developed have come from this thing, this thing called crossfit. Um, for us as kind of a, a beacon of, of fitness in the community. We’re all in this journey together, right? We’re all headed towards this thing called fitness. Why not act like it? The worst thing that, that in my opinion with, with the fitness space as a whole is walking in somewhere, having people with their headphones in and their eyes down and the only conversations that you have is, hey, you done using that?

Cody:                                         29:50                       That sucks. Yeah. And we can do better. And I think that like people are starting to see that. So the, the, the shift and the change. In the community. And you know, the, the broader fitness landscape as a whole for us as a, as a business, small town, you know, word of mouth. If you’re doing things right and you’re treating people right, you, you’re going to be more successful. Now we are able to do that now better than ever before because of what I’ve gone through in the incubator and being able to, to have these processes in place and to make sure that when Steve and Ian Coach classes, it’s going to be to the same caliber that I would go to the class and we’re offering the best possible service and, and foundations is as good as it can be. And you know, I always want people to feel like they’re underpaying for our service.

Cody:                                         30:37                       Like they’re getting a tremendous value for, for what we ask for a membership. I can’t do all that by myself. The incubator has really helped me realize how to position myself to have a broader reach. Those systems and processes saved me and my business from the brink of a, of a collapse man without the incubator. And I was at my wits end with the service that I was working with before. I just felt kind of empty and I didn’t have that. I was ready to take the next step and nobody to tell me how I got that and more than I could ever, you know, repay from, from Two-Brain. So I’ve signed, I know I had my first growth call last month and, uh, I’m gonna do this thing until, you know, hopefully I retire one day.

Mateo:                                      31:25                       That’s awesome man. That’s great. I mean, I, let’s end on that note because I think that that was awesome. He just said, if people want to learn more about, uh, you know, what you got going on in, in Coldwater, Michigan, and your two gyms, where, where can they find you? How can they talk to you?

Speaker 4:                               31:40                       Yeah, so crossfitcoldwater.com we’ve got ForTimedesign working on our new a website, so that’s going to be pretty dope. We’re on Facebook, it’s Fortitude strength and conditioning or crossfitAngola, and, Instagram. It’s the @crossfitAngola and @crossfitcoldwater. Um, my personal handle is Cody Ringle, they’re more than welcome to reach out and chat with me. I really enjoy talking to other gym owners and just hearing about the things that they’re doing well because I’m under no illusion that I’ve got this thing figured out. Uh, if it wasn’t for the people that I’ve been lucky enough to have, you know, in my life through different mentoring roles and, and things like Two-Brain, I would still have my head in the sand.

Mateo:                                      32:20                       So. Totally. Do you do any work with, uh, are you, I know you had the youth program, you, you guys, you only work with other youth athletics or I don’t know if you do any virtual coaching.

Cody:                                         32:30                       People want to, yeah, we don’t, I haven’t really expanded into remote coaching. I think that there’s, there’s a tremendous value in it. Don’t get me wrong, but I do much better one on one with a, with a person or in a group. Um, it’s just, I’m a better coach that way. Um, yeah, we do everything from, we worked from kids, you know, we’ve got a summer camp that has the third all the way down to third grade who come in and we’re just teaching them to have fun with fitness. So we work from the, we work with the eight year old to the 98 year old.

Mateo:                                      33:00                       Awesome. All right man. Well thanks for hopping on and I’m looking forward to seeing what the rest of the 2019 holds for you.

Cody:                                         33:06                       Yeah, thanks for sure.

Chris:                                         33:08                       Hey everyone. Chris Cooper here. I’m really thrilled to see you this year in June in Chicago at the 2019 Two-Brain summit. Every year we have two separate speaking tracks–one for you, the business owner and there’s one for coaches that will help them make better, longer, more meaningful careers under the umbrella of your business. This year we’ve got some pretty amazing topics like the client success manager, how to change your life organizational culture or the business owner’s life cycle, how to have breaks, how to have vacations, how to help your marriage survive, owning a business and motivation and leadership. How to convert more clients, how to create a GM position that runs your gym for you and leaves you free to grow your business. How to start a business owner’s group in your community in more point here is to do the right thing that will help gym owners create better businesses that will last them for the longterm, get them to tinker phase, help them be more successful, create meaningful careers that their coaches and give their clients a meaningful path to longterm health. We only do one big seminar every year and that’s the two brain summit and the reason that we do that is because a big part of the benefit is getting the to bring community together and welcoming strangers into our midst and showing them how amazing gym ownership really can be. We’ll have a link to the two brain summit including a full list of all speakers and topics on both the owners and the coaches side in the show notes. I really hope to see you there.

Speaker 5:                               34:35                       As always, thank you so much for listening to this podcast. We greatly appreciate you and everyone that has subscribed to us. If you haven’t done that, please make sure you do drop a like to that episode. Share with a friend, and if you haven’t already, please write us a review and rate us on how what you think. If you hated it, let us know if you loved it, even better. See you guys later.

 

 

 

This is our NEW podcast, Two-Brain Marketing, where we’ll focus on sales and digital marketing. Your host is Mateo Lopez!

Greg Strauch will be back on Thursday with the Two-Brain Radio Podcast.

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TwoBrain Marketing Episode 9: Kevin Rundlett

TwoBrain Marketing Episode 9: Kevin Rundlett

 Two Brain Marketing Episode 9: Kevin Rundlett of CrossFit Chi-Rho

 

Today we are joined by Kevin Rundlett of CrossFit Chi Rho in Jackson Mississippi. In addition to running his CrossFit gym, Kevin works full time as a lawyer and is even the city prosecutor! Growing up lifting weights and training since he was 15, Kevin fell in love with CrossFit and after learning that the gym they attended was being sold, they jumped right in to keep it going. In August of 2017, Kevin and his wife purchased the gym and have been running it ever since! Join us as we learn how Kevin manages his gym, law practice and how Two-Brain has helped with both!

 

Don’t Forget about the 2019 Two Brain Summit, June 8-9 in Chicago! This year we have some amazing topics and guests for both yourself and your coaches. Click hereto register and sign up now!

 

Contact:

https://www.crossfitchi-rho.com/

 

Timeline:

2:20 – Introduction to Kevin 

6:14 – Advice for others who are considered purchasing their gym

12:30 – What it takes to break even and profit as a gym owner

13:30 – Staffing a gym that was recently purchased 

15:03 – The importance of finding a good general manager

18:27 – The key to success when first starting a new gym

21:16 – How to contact Kevin

Announcer:                            00:02                       Welcome everyone to Two-Brain Radio. It is our mission at Two-Brain to provide 1 million entrepreneurs the freedom to live the life that they choose. Join us every week as we discover the very best practices to achieve perfect day and move you closer to well,

Chris:                                         00:26                       this episode is brought to you by healthy steps nutrition. I first met Nicole over a year ago when one of my favorite crossfit affiliates introduced me to her because Nicole was helping them. Sam Brumenschenkel at crossfit port orange started a nutrition program in her box and that conversation turned into something larger a year later and Nicole has a fantastic bolt on nutrition program that you can add to your box anywhere in the world. So if you’re thinking, I need to start presenting better nutrition information to my clients or I need a new revenue stream, or I want to know more about nutrition, but I don’t know where to get started, healthy steps has that. What they’re going to do is put you or one of your coaches even better through a course, get them qualified to start teaching nutrition. Then they’re going to add you to a private Facebook group.

Chris:                                         01:14                       They’re going to give you a roll out so that you can do a nutrition challenge at your gym, which more than pays for the cost of enrolling them in the course and then provide an ongoing mentorship program for your nutrition program so you can continue to run things for your clients like in nutrition accountability plan every month like we do at catalyst. Nicole is a fantastic person and after launching healthy steps nutrition online, she actually opened up her own box. She’s working with some massive clients including some big big school boards across the country now and she’s in a great position to actually change people’s lives. With nutrition. You can be a conduit for that. Your clients need nutrition advice and counseling. Healthy steps is the best possible solution to this. It’s bolt on. You can take a coach who’s passionate about nutrition and give them the help they need to start a program overseen by a registered dietician, Nicole Marchand, Healthy Steps Nutrition is a proud sponsor of Two-Brain and I am so glad to have them. Nicole will be speaking at our summit in Chicago, June 7 and 8 this year. You do not want to miss her.

Mateo:                                      02:20                       Hello and welcome to the two main marketing podcast. I’m your host, Mateo Lopez. I’m one of the digital marketing mentors at Two-Brain business. Thanks for tuning in. This is your weekly dose of Digital Marketing Magic. Every week we go over marketing campaign strategies, useful tips and updates to keep you in the loop on the ever changing landscape of advertising on the Internet for Your Business. And today’s episode is special guest Kevin from crossfit Chi-Roh and we’re going to learn about his experience and how he’s managed to juggle and balance his fulltime law practice and his gym. So, uh, Kevin, thanks for, thanks for joining us. And, uh, tell us, tell the people who are tuning in, you know, tell us a little about you, where you’re from, and and your business.

Kevin:                                        03:09                       Sure. Well, I’m married. My wife, Vicky and I are both attorneys. We have three children and five and we live in Clinton, Mississippi, which is about 12 miles west of our capital city of Jackson. Uh, the town is a population of about 35,000. Um, yeah, so we’d been practicing law for since 2001, so 17, 18 years. I’ve had my own law practice the entire time and uh, my wife has been in litigation prior to what she’s doing now. Currently she’s in administration for our church, which gives her some flexibility to, to manage the kids. And uh, so she’s got a full time job and I have a fulltime job. I am also the city prosecutor for the city.

Mateo:                                      04:05                       Oh, I didn’t know that.

Kevin:                                        04:07                       Yeah. So, so I, I wear several hats and it’s, it’s um, it keeps us very, very busy, especially with taking on, on the gym, which, you know, when we started out, all we had to do was purchase it and it was going to run itself. Right,

Mateo:                                      04:23                       right.

Kevin:                                        04:34                       That’s all we needed. Well, what happened there? We’d been members of our, our gym. It was in existence prior to us purchasing. We were members for about seven or eight years. We totally bought into the crossfit methodology. We loved it. We loved the community. And the prior owner felt led to go another direction and was ready to get out of it. So the gym was declining because he was, he was doing other things and he’s a good friend and, and did a great thing and starting the gym. But he was ready to get out and wait, said, well, hey, we love it. Let’s, uh, let’s, let’s make sure we keep it going so we have a place to continue what we love. And in August of 2017 we, we purchased it.

Mateo:                                      05:28                       Never been cheaper.

Kevin:                                        05:37                       But I’ll tell you what, the things that I’ve learned are invaluable. And if this had not happened, my wife and I would not have found Two-Brain, and the lessons that we’ve learned have not just helped us with the gym. They’ve also greatly helped us with our, our other businesses, my law practice, and my wife’s management of time. Um, so yeah, so it’s, it’s been a blessing even though life is very busy right now.

Mateo:                                      06:11                       That’s awesome. That’s amazing. Especially now as crossfit has been around the u s at least for a good while. Now, some of the people who opened gyms were the, were the pioneers there you see a lot of people selling their gyms. And so there are a lot of people who are trying to get in the game and buying and purchasing gyms like you did. So do you have any advice for someone who is thinking about purchasing an existing, uh, you know, fitness business?

Kevin:                                        06:45                       I know there’s other podcasts where you talk to people about the proper process of purchasing a gym and we did not do that, which is okay because we basically bought the equipment. So it wasn’t a huge investment. Did we know what we were getting into? Absolutely not. Uh, we thought, well, you know, we’re attorneys, we’ve been running our own practices, we can handle this. No problem. And I’m going to jump back and kind of walk you through how, how that went. When we purchased it in August of 17, it was not an affiliated crossfit affiliated gym. Um, the, the membership had gone from a high of probably 200 members. We’ve got a big space, 7- 7,500 square feet, little bit more good population in town, you know, lots of people to draw through. So it had gone from 200 or so folks at at the highest point to when we purchased it, probably 60 members and we took over and started getting things in line.

Kevin:                                        07:42                       I scrambled to get my L1– scrambled, to find the name that we wanted for the gym, get affiliated with Crossfit, got all that done. And in that time, uh, started to see the problems that we were having. Mainly the income of the gym was not covering the expense. Right. So I happened to be, I was listening to podcasts and I happened to be on a crossfit, podcasts, profiting podcasts, uh, that Chris Cooper was on. And he started talking about Two-Brain and I said, okay, I’m going to call. So this is, this is what we need. We were led to talk to him, I feel like so, so I called him and talked to Chris and he felt like we could use his help and understood what we were going through and hooked me up with Jeff Smith. So I started there my wife and I started the incubator in January of 2018 so we had about four months with no guidance and started the incubator, then went through that from January to April of 2018 so it took us about four months to get through that and keep in mind that the process has been slower for us because we have so many other hats and things we’re trying to balance.

Kevin:                                        08:57                       But that’s, that’s okay. We got through that initial period, the, the, you know, got the systems in place, started to get them in place where they, are they perfect. No, and that’s, that’s the problem that I had is I felt like, you know, these systems have got to be perfect and I would spend lots and lots of time, you know, we got to do this, this, this is this, right? Always questioning. But Jeff got me through that. You just have to get something in place and we can modify those as, as we grow. So we got the systems in place and got on the, um, got, got with Two-Brain growth after that. And I’ve been with them ever since. Um, worked with Jeff for for several more months, still getting the systems to where they needed to be. You know, we didn’t even have an onramp program.

Kevin:                                        09:44                       We didn’t, we didn’t have any kind of sales process. It was all just, you know, we’re going to get this. People are just going to come in the door and, and you know, as well as I do that it doesn’t work that way anymore. And through the process of implementing all of these systems, we lost members. You know, these are, these were old original members that started with me. So I don’t, I don’t know if they just had a problem paying someone that was by their side working out for so long or they didn’t like the change. We know no one, no one likes change. We understand that. Uh, so we, we lost almost all, you know, we may have a handful of those original guys and girls that were with us. So, you know, our, our ultimate goal here is to get the business running on its own right where we can step away and we can, we can be in that tinker phase and we can come in and just work out if we want to or just through the marketing or whatever it is.

Kevin:                                        10:41                       So we’re, that’s, that’s what we’re working towards. So we were at the point once we get the systems in where we needed to grow and enter Mateo and Blake and so I called you guys, uh, it was October, I think when we got started on this maybe, maybe just before September, October of 2018 and I signed up for the marketing incubator and understand, you know, I’m, I’m getting a little older, I’m not as tech savvy as you guys, so y’all, y’all, I went through the process and we did exactly what you said. We really didn’t deviate much at all and it wasn’t perfect. You know, we went through and we, we got the, the marketing videos and the landing pages and uh, you guys guided us through that. So, so it gave me some insight as to how it works. Can I get on there and do that right now on my own?

Kevin:                                        11:38                       No. And I’m sure there’s a lot of people like that out there and that’s okay. But you helped me through it. We got the system in place and started the Facebook advertising with the six week challenges and basically that’s, that’s what we’re doing. We haven’t changed it much. We change the pictures. We, we tweaked the language just a little bit. And so, you know, I listened to one of your podcast yesterday and I can’t remember the guy’s name, but you know, they made $200,000 and you know, I’m not, we’re not there, but we’ve invested $3,000 in advertising since we started and the front end revenue on that, it’s about $20,000.

Mateo:                                      12:19                       Wow.

Kevin:                                        12:20                       I don’t care who you are or how much, you know, that’s really good. Return on investment.

Mateo:                                      12:26                       Yeah, I think pretty spectacular.

Kevin:                                        12:46                       It doesn’t count the members that stick around

Mateo:                                      12:48                       exactly.

Kevin:                                        12:50                       And then they pay those monthly memberships. And you know, our, when we started and we took over the gym, membership rates were $50 a month, $70. You know, they were across the board, there were discounts everywhere. And um, now I, you know, I don’t have an exact number of what our average revenue per member is. I just don’t have time to, I know what’s going on, but I, you know, I need to focus on that and I think it’s important, but I just don’t have the time to really micromanage that yet. But I know what people are spending and it’s well over $150 probably average per member now. So much, much better than it was

Mateo:                                      13:35                       when you first purchased the gym, you know, was there a staff in place or did you cover a lot of classes?

Kevin:                                        13:42                       Yeah, well I didn’t have to cover a lot of classes. We had some staff in place, mainly just coaches. There was no general manager, there was no head coach, nothing like that. So our coaches have, have changed immensely. The way we train our coaches has changed immensely. We have a head coach now that manages the coaches and he does a great job. We recently, I went through the process of training someone to handle the lead nurturing process, the sales process, and he was also a personal trainer and was doing just great. And so I was, I was getting to that point of, I was seeing through the trees, that tinker area up, up, up top, right. And he left, he moved to another state unfortunately. So no, no bad blood there. But what that did was slide me back into that sales role. So the, the good part of that is I’ll learn how to train someone to do it and I can do it again. I just have to find the right person for that slot.

Mateo:                                      14:50                       Amazing so he moved states, which is fine, but now you kind of have a little bit of an SOP, standard operating procedure for that next person that comes your way. You can train them up and get them up and running pretty efficiently. So it sounds like you were fortunate enough that you didn’t really have to, you know, so a lot of people when they buy gyms, they have to coach all the classes, wear all the hats and then level all the way up. You are able to keep kind of the existing infrastructure in place it sounds like, and then develop the team that you had and, and then put that managerial level in between you eventually. So how are you able to do that? A lot of people struggle with that. What were the conversations that were had with the existing staff or the hey, change of direction. This is what we’re going to do now. How did you find that person to be that manager, uh, in between you and the, and the coaches? You know, tell us a little bit about that if you can.

Kevin:                                        15:44                       We’re not quite there yet. Once we started to get the systems, we have coaches meetings every two weeks and I was constantly talking to them about what we’re doing and, and, and they all bought in. But it was also an opportunity for me to explain the level of service that I want from my coaches. And some of them just weren’t there and that didn’t work out. So they ended up leaving. And we’re blessed with, with people that would come in at the right time and say, Hey, I’m looking to coach. And we move them into the spot. And as, as we’ve gone through the process, knowing our people and observing our people to see who’s in the right spot, we were able to get a head coach in place. Now what I’m working towards is getting the general manager in place. We’re still in that growth phase where we’ve got to get our revenue up to a certain point where I can afford to pay that general manager to, to handle a lot of the stuff that I’m doing.

Kevin:                                        16:48                       And, and I want to jump back a little bit because you, you asked me earlier, you know, how can I manage a law practice and do this well for the first year of my law practice stuff? Uh, I haven’t been doing the marketing for that. I wasn’t able to, you know, it’s maintaining, but I really focused on this and that was probably a mistake and something that Jeff and I, and I’m working with Brian Strump now, who’s awesome to, you know, both of them said, look, you’ve got to manage your time better and block time. So I’ve gotten better. I’m not perfect, but spend some time every day working on the law practice and don’t get distracted by everything coming in from the gym. So that’s, that’s kind of where we are. We’re not, we’re not there yet. We’re, we’re getting there. And slowly but surely. And, and I attribute that to you guys and, and, and Brian and Jeff, I probably know what to do. I understand what I’ve got to do. But taking the action and discussing it with someone else and having them say, hey, just do first, really, really helps.

Mateo:                                      17:51                       Yeah, no, that’s great. And obviously you’re not at the tinker stage yet. You’re not totally removed yet, but just even even be able to keep, keep your hands out of the machine completely, you know, or preventing yourself from tinkering constantly. I think it was, it’s really impressive, right? Especially when you’re taking over a new business, you know, allowing, cause that’s what I would’ve done if I were to, if I were to them what you did, I would have been coaching all the classes. I would have been like not trusting anyone to do it the way I wanted to do it. So I just think that that part in it of itself pretty impressive. And so you’re still working through the process. You’re still growing, you’re still leveling up and learning to manage your time and grow both your businesses at the same time. But I think it sounds like you’ve had a lot of success and you just, the fact that you’ve been able to take a gym that was charging $50 a month per membership too, you know, well over 150, uh, that you’ve, you’ve created new positions for people head coaching position, and you’re looking for a manager position now you’re still growing.

Mateo:                                      18:54                       I think you’ve seen a lot of success and growth so far. And you touched on it a little bit just now, but what do you think has been the key to your success so far? It sounds like you were talking about the, the guidance and the mentorship, but yeah. And in your own words, what do you think’s been the been the key to your success?

Kevin:                                        19:13                       The mentorship. And I’ve always been that way. Even when my law practice, I found that an older attorney and worked with him and went to him with any questions I had. So I’ve always kind of been in that mindset. And so it was a natural progression to do that with the gym as well. But let me tell you this, what I’ve learned through this process, because they don’t teach you how to be a business person in law school. You know? I suspect it’s the same for other professions as well.

Mateo:                                      19:45                       No,

Kevin:                                        19:45                       they don’t. So what I’ve learned through Two-Brain for the gym, I’m also transitioning into the law firm. The Facebook marketing is different for the clients that I have in the law practice and probably for other people that other businesses too. If it’s a service based industry that’s similar to this, great. I hope it works because there’s nothing better for marketing, for the gym, for the law. Practice is a little different and we’re still working through that. But what, what I’ve learned and what seems to be working right now is, is affinity marketing with other lawyers. So because of what I’ve learned through Y’all I’m sending out was I love letters to all my attorney associates that I know out there and telling them what I do and trying to help them with their law practice first and then saying, hey, this is what I do.

Kevin:                                        20:33                       If you need some help with it, let me know. And I’m starting to get referrals from them. So you know, it’s, it’s, it’s helped with the, the law business. If, you know, me doing roles and tasks there and working through the incubator stuff kind of on my own with that, just like it’s helped with the gym. So you know, the, the people that have other businesses and other practices that they’re trying to do at the same time as, as the gym yet. I think it’s important that you, your mirror, what you’re doing, quit the gym cause it’s, it’s really best practices. Right.

Mateo:                                      21:03                       That’s awesome. That’s great man. I think he, I don’t think I could have said it better myself. I think. Yeah, having a staff handbook, you know, it applies to any business, you know, having roles and tasks, any business. Well Great Kevin, thanks for hopping on today. People want to talk to you and where can they find you?

Kevin:                                        21:22                       Well our website is, is crossfitchiro.com that’s C H I r h o. And you know my cell phone. I’m glad to give it out. I give it out to everybody. 601 750 0070

Mateo:                                      21:36                       wow. You’re braver than I am

Kevin:                                        21:38                       . I don’t, I man, I don’t, I don’t hide it. I give it to all my clients. Anybody that needs it just, just call me there and hey, I want to say my wife is a big part of this and you know, there’s, there’s certain struggles there when you’re trying to differentiate your roles, but you know, she’s our joy person right now. She sends out the welcome gifts, she sends out the written cards and does a great job with that. And she also manages all of our new memberships and payments. So know we were really worked together on this. We wouldn’t be, I wouldn’t have been able to get through, but what I do if she wasn’t doing what she does and the same vice versa,

Mateo:                                      22:15                       we’ll have to have a separate episode how to run a business with your spouse. It’s own handbook. Right, right. Awesome. Well thank you man. And uh, yeah, looking forward to seeing what the rest of 2019 holds for you.

Kevin:                                        22:32                       Yeah. I’ll be calling you soon about the marketing stuff.

Mateo:                                      22:34                       Oh, awesome.

Speaker 5:                               22:37                       Hey everyone. Chris Cooper here on really thrilled to see you this year in June in Chicago at the 2019 Two-Brain summit. Every year we have two separate speaking tracks — one for you, the business owner and there’s one for coaches that will help them make better, longer, more meaningful careers under the umbrella of your business. This year we’ve got some pretty amazing topics like the client success manager, how to change your life organizational culture or the business owner’s life cycle, how to have breaks, how to have vacations, how to help your marriage survive. Owning a business and motivation and leadership. How to convert more clients, how to create a GM position that runs your gym for you and leaves you free to grow your business. How to start a business owner’s group in your community and more point here is to do the right thing that will help gym owners create better businesses that will last them for the long term.

Speaker 5:                               23:28                       Get them to tinker phase, help them be more successful, create meaningful careers of their coaches and give their clients a meaningful path to longterm health. We only do one big seminar every year and that’s the Two-Brain summit and the reason that we do that is because a big part of the benefit is getting the to bring community and and welcoming strangers into our midst and showing them how amazing gym ownership really can be. We’ll have a link to the Two-Brain summit, including a full list of all speakers and topics on both the owners and the coaches side in the show notes. I really hope to see you there.

Speaker 6:                               24:05                       As always, thank you so much for listening to this podcast. We greatly appreciate you and everyone that has subscribed to us. If you haven’t done that, please make sure you do drop a like to that episode. Share with a friend, and if you haven’t already, please write us a review and rate us on how what you think. If you hated it, let us know if you loved it, even better. See you guys later.

 

 

This is our NEW podcast, Two-Brain Marketing, where we’ll focus on sales and digital marketing. Your host is Mateo Lopez!

Greg Strauch will be back on Thursday with the Two-Brain Radio Podcast.

Thanks for Listening!

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How To Be “Gym-Poor”

How To Be “Gym-Poor”

Every square foot you rent should generate revenue for you.

 

And the amount you generate should be clear.

 

We’re often called by gym owners who are running out of money because they rented too much space. We’re almost never called by gym owners with the opposite problem.

 

The owners’ mistakes and regrets all center around using space for activities that aren’t directly tied to revenue:

  • a sitting area for clients (does it actually help retention?)
  • a coffee bar (too expensive to staff and stock)
  • some dedicated single-function space (will people want to take yoga classes at your gym forever?)
  • a whiskey/beer/whatever cool distraction is in this week.

Those are the things that make owners gym-poor.

 

In every case, the gym owner added things they believed would add value to the client. And that’s the problem: WE see the value of having an athlete lounge, but they don’t. Or it’s not quantifiable. So here’s my rule: if you can’t point to something in your gym and say, “That brings me X dollars each month”, get rid of it. You have too many opportunities that WILL pay you to take up space on those that won’t.

 

When an athlete thinks about joining or leaving your gym, they think about the coaches, not the couches.

 

While a clean bathroom is a necessity, a steam room isn’t.

 

What IS?

Group training space, if you offer group training. Flexible layout is preferred. Option to run two groups at once is best.

Semiprivate or private space for 1:1 and small-group training

Private consultation or office space for meeting with clients

1 shower for every 70 clients (more if you serve a nearby corporate staff)

1 additional bathroom for every 70 clients (minimum, more is better).

 

Our method of training is simple and elegant: everything you need, nothing you don’t. Your space–and your business–should focus your client’s attention on your true service instead of the distractions. And don’t forget YOUR focus: every entrepreneur needs to work on things that will increase their effective hourly rate instead of buying themselves more tasks.

 

You can stock the bananas, or you can sign up the clients. Which will actually add value? It’s up to you to know.

 

 

Are You Kicking Your Profitability Away?

Are You Kicking Your Profitability Away?

“I’ll let people try my service for free, and then make it up on the back end.”

 

“I’ll pay my staff a salary and then pay myself when we’re profitable.”

 

“I’ll take some money out of the business when we reach 100 members.”

 

Entrepreneurs open a gym for all the right reasons: they want to help people. They want to share the gift of fitness. And they want to tear up the old myths about health and food. They’re passionate. And they’re usually generous to the point of hurting themselves.

 

They tell themselves that “leaders eat last” and that they’re “playing the long game”. They keep kicking their success down the road. And most never, ever catch up. I was that way too.

 

Here are some of the methods we teach to help owners get profitable NOW:

 

      • Profit First. Listen to the episode with Mike Michalowicz here. Paying yourself first means you’ll pay yourself, period. My favorite “profit first” analogy is the toothpaste tube. When the tube is new, you’re pretty loose with the paste. If you spill some, it’s no big deal. If you use more than you need, no problem. But at the end of the tube, you’re squeezing every last drop out. You’re rolling it up; folding it; pressing it against the sink. That’s how money works, too. If the rent is due, you’ll hustle to pay it. But if it’s your own pay on the line, you won’t. Pay yourself first, and you’ll always have the money.

     

      • The 4/9 model. Every staff person should generate 2.25x their pay. Instead of shouldering all the risk with a salary they might not  even want, give your staff opportunity. Work always expands to fill the time you give it. The old industrial model of a 40-hour-week for a fixed check is demotivating; gets far less work accomplished; and caps your staff’s potential. It also puts your cash flow at risk. In short, it puts the owner LAST. In an owner-operator business, that can be deadly. Pay your staff 4/9 on group classes, PT and specialty programs. Show them the opportunity to make more money. Slowly move other roles onto their plate, and pay them separately for those roles.

     

      • Collect up front, but pay your staff on delivery. Some owners sell personal training packages, and then immediately pay their trainers their share before service has been rendered. This is very demotivating, because the money will be spent long before the sessions run out. What happens when the trainer wants to take a vacation? They keep the money and the owner provides the service for free. What happens when the trainer does a bad job? The owner is forced to keep them around…at least until all of the sessions are fulfilled. What happens when the trainer leaves, or just stops showing up? It’s always the owner who gets caught. Collect from your clients in advance, but never pay ahead of delivery by your staff.

     

      • Build an annual plan. If you’ve been tracking your metrics, you’ll know where the peaks and valleys are in your business. Bridge those valleys with specialty programs, events, or other cash spikes. Use our free tool here.

     

      • Don’t be scared to carry a balance. Many gym owners think it’s wise to bring every credit card to zero every month; to buy things only with cash; to impoverish their business instead of carrying a loan balance. It’s not wise; it’s a starvation diet. Years ago, when my bank account hit rock-bottom, I was making maximal payments on my loans and paying off my credit card balance every month. Finally, when I couldn’t starve my family any more, I reached a point where I didn’t have enough money to cover payroll. I called the bank and asked them to refinance my little $15,000 loan.
        The loan officer said, “Yeah, sure. You’ve never done this before? Everyone does this!”
        I spread my loan balance out over 5 years, cut my payments in half, and breathed easier. Of course, I paid off the balance before it was due. But giving myself that little breathing room helped me sleep at night, be less distracted with my clients, and keep my staff paid on time. I needed that short-term win to get me through the bigger battles ahead. Read more about Good Debt and Bad Debt here.

     

      • Finally, remember that your business exists to serve your family first; your clients second; and your staff third. Read “How Much Suffering Is Enough?” here. You didn’t open a business to be a fundraiser for the government or Rogue or CrossFit HQ. You did not open a business to take a vow of poverty. You opened a business to eat. People who don’t own successful gyms often don’t understand this: your martyrdom doesn’t make your clients fitter. Your starvation doesn’t keep them around longer. You’re not helping anyone by working a 15-hour day, and you’re definitely hurting your family. Keep that perspective at all times.

     

 

Someday your ship will come in, right? You’ll just keep doing the things and doing the things and showing up, and somehow things will get better.

 

Wrong.

 

Nothing changes until you change. You tell it to your clients, and it applies to you too.

 

Click here to get a free hour of mentorship from our team. No sales pitch, ever.

The Zero-Sum Error

The Zero-Sum Error

In late 2005, I opened my first gym. I made my first business mistake before I trained my first client.

 

I was painting my new gym space with one of my new partners. He asked my goals for Year One while we rolled a bright chartreuse over the wallpaper in our tiny second-floor space.

 

“I’m going to put these other guys out of business,” I said.

 

I’d been coaching for nearly a decade at that point. The last 2.5 years had been spent training people 1:1 in a tiny, windowless studio gym. I needed the money–and that’s why I opened my own gym–but I also needed acknowledgment: I was positive I was the best trainer in town, and I wanted people to know it.

 

In 2005–barely 14 years ago!–the sum of fitness business knowledge was: “Be the best coach and you’ll be the most successful.” I was eager to believe it, because I was the best coach.

 

My partner, Norm–you’ll meet him at Summit!–asked me, “Why?”

 

I said, “Well, I’m going to take all of their clients.” Not because I was confident in my business skills, but because I thought I would have to take their clients to survive.

 

I made the classic mistake of believing the market for personal training was limited. I thought, “Only a few dozen people in town can afford personal training, and they’re already doing it somewhere else!”

 

This is called “zero-sum thinking”: the belief that the number of potential opportunities for your business has a limit, and that every opportunity comes at the cost of someone else.

 

Here’s how it almost killed me:

 

When I opened my doors on October 25, 2005, I really did take clients from elsewhere. I had 25 sign up the first week. True, I was honoring packages they’d purchased elsewhere and making very little new money, but they came with me. I owned them! Right?

 

But my zero-sum thinking actually turned some of them off. I was already writing blog posts almost every day. I had fitness columns in two out of three local newspapers, and my website was live before my first barbell arrived. Even then, I knew the power of publication. But I didn’t know it was a double-edged sword.

 

Because I was broke; because I was scared; because I was thinking zero-sum, I wrote about how wrong other trainers were. I told readers to ask their trainer for their credentials; then to check their own results; and then to call me to get better results. I told them that if their trainer couldn’t tell them what workout they’d be doing in two weeks, the trainer was lazy. And on and on.

 

After two weeks of this, the newspapers both backed out on the same day. Then clients began giving me the “don’t call me, I’ll call you” brush-off. My bookings went down. And worst of all: some of my new clients went back to their old trainers!

 

Why? Because I’d shown them all the worst parts of me: my desperation, my willingness to blast the other guy just to get clients. Hell, the clients who left were embarrassed to do business with me. It didn’t matter that I was trying to feed my family or terrified of failure. All that mattered was how I handled myself.

 

I should have listened to Norm when he told me “You can’t build your business by tearing another down.”

 

Unfortunately, I thought building blocks were in limited supply, and I had to smash their tower to build my own.

 

Today, Catalyst is doing great. It survived my early mistakes (though it took years to correct them, even after finding my first mentor.) All of the other gyms in town are also doing great. More people are exercising in our city than ever. People who go to X gym wouldn’t be a great fit at Catalyst, and vise versa. It’s not an all-or-nothing, zero-sum game at all.

 

What’s holding you back?

TwoBrain Marketing Episode 8: Jenn Markwardt

TwoBrain Marketing Episode 8: Jenn Markwardt

 Two Brain Marketing Episode 8: Jenn Markwardt

 

Today we are joined by Jenn Markwardt from CrossFit Sandpoint, in Sandpoint Idaho. Jenn started the incubator with over 100 clients already, but she and husband Kenny weren’t making enough money. They were doing all the work, and Jenn was working outside the business.

Today, Jenn and Kenny both work at CrossFit Sandpoint full time. They’ve expanded, bought out two partners, and have dialed their systems enough to open a second location. Here’s how they did it, how they get new leads, and their sales process for new clients.

Don’t Forget about the 2019 Two Brain Summit, June 8-9 in Chicago! This year we have some amazing topics and guests for both yourself and your coaches. Click hereto register and sign up now!

 

Contact:

http://www.crossfitsandpoint.com/

https://www.facebook.com/jenn.markwardt

 

Timeline:

2:20 – Introduction to Jenn Markwardt

6:23 – Working a fulltime job while starting a gym

10:07 – What was the impetus for looking into Two Brain and starting the Incubator

12:02 – What to do when you want more out of your business?

15:07 – What is it that CrossFit Sandpoint Sells and how do you sell a new client

18:15 – The sales process and sales funnels at CrossFit Sandpoint

24:52 – The key to success in owning a gym: playing the long game

 

Greg:                                          00:02                       Welcome everyone to Two-Brain radio. It is our mission at Two-Brain to provide 1 million entrepreneurs the freedom to live the life that they choose. Join us every week as we discover the very best practices to achieve perfect day and move you closer to wealth.

Announcer:                            00:26                       Everybody hates their insurance company until they need their insurance company. My insurance recommendation is Vaughn Vernon of affiliate guard. Before I get into this story, I want to make it clear here that I don’t get any kickback for recommending Vaughn, but I’ve done it so many times. Whenever anybody online asks the question about insurance companies, I always say affiliate guard. Here’s why. Years ago when we affiliated with crossfit, my insurance company dumped me citing, quote unquote tractor pulls that we were going to be doing, whatever the hell that is. I’ve never pulled a tractor in my life. Um, I’ve driven lots of tractors and I can tell you, I don’t think I could pull one if I wanted it to. But that’s besides the point. At that time, the person who swooped in and saved crossfit gyms in Canada was Joanne Legal. And if you’re in Canada, I recommend talking to her period.

Announcer:                            01:16                       You don’t have to talk to her first. You don’t have to talk to her last. Just talk to her period. If you’re in the states though, I recommend affiliate guard because the program that I get through Joanne and Canada is really, really awesome and all inclusive. Joanne’s personality though is what keeps me with their company in the states. Affiliate guard is run by Vaughn Vernon, a massive personality, a crossfitter, a Jujitsu guy. He drives dirt bikes, he has good looking kids, all that stuff and his policy is the best. It’s really, really tough to tell when you’re reading your policy if the benefits are the same as someone else’s because they obscure stuff on purpose. It’s just like taxes. However, when I’m looking at my policy, I ask myself, will that guy get up in the middle of the night and help me out and this weekend was a great example of Vaughn’s personality.

Announcer:                            02:08                       One of my friends and clients down in Florida had their garage door smashed open, by a Mustang that was doing donuts in the parking lot and they texted me at 6:00 AM on a Sunday and I wanted to help so I texted Vaughn, he’s two hours behind me and he responded right away. Your insurance company is not going to do that. As I said at the start of this, everybody hates their insurance company until they need insurance and when you do need insurance, you want them to answer the damn phone on a Sunday morning and you want to talk to the head man and you just want to know everything’s going to be okay with affiliate guard. It is.

Mateo:                                      02:43                       Hello and welcome to the Two-Brain marketing podcast. I’m your host Mateo Lopez. I’m one of the digital marketing mentors at Two-Brain business. Thank you for joining us and this is going to be your weekly dose of digital marketing magic where every week we’re going to go over marketing campaign strategies, useful tips, updates, keep in the loop and we’ll go over stories from some of our current clients. So you can hopefully learn from them and their experience in navigating the ever changing landscape of advertising on the Internet for Your Business. And in today’s episode we have very special guests, Jen from crossfit Sandpoint and we’re going to learn about her and her business and how she was able to really utilize some of the strategies we, we teach in the course to generate over $7,000 in front end revenue from just a little over 400 bucks in advertising spend. So hello, welcome. Thanks for jumping on. So first question for you, who are you, where you’re from, what’s your business and tell us a little bit about it.

Jen:                                             03:49                       My name is Jen and we opened the gym about seven years ago. Moved here from California. We live in northern Idaho. So almost to Canada.

Mateo:                                      04:02                       I think it’s a pretty big difference.

Jen:                                             04:04                       Uh, yeah, it was a huge difference. We went to school in southern California and then really wanted to start a gym. And doing that in Santa Barbara was just incredibly cost prohibitive. And so we’ve been coming up to northern Idaho for summers and skiing and decided that we wanted to make it our home and seven years later we never left. We love it here and we’ve got a pretty successful business. So I run, my husband runs the programming, the operations, that side of it, and I do the marketing and business development because that’s what my background is.

Mateo:                                      04:38                       That’s awesome. Yeah. What was it? What was it like starting up the gym? It kind of sounds like you upgraded your life and moved to, I mean you had some familiarity with the area since you’ve been going there for vacations and whatnot, but you know, what was that? What was that process like?

Jen:                                             04:54                       It was crazy. We actually didn’t even think we were going to stay in this town. We just hung out at the lake. We’ll just take some time off and then we’ll figure out what our plan is going to be. We’re here. The more we just felt like this is where it’d be drawn to stay. There wasn’t a crossfit gym in town, you know, it’s a tiny town. It’s growing. But when we moved here, there were 7,000 people. So we started looking into, is there another crossfit gym? There wasn’t, but there were these two guys that had like a tiny garage space and it was basically like you press in a key code. They had some, you know, they had a small rigs and some bars, some weights and barbells. And so they were from the community and we said, hey, we’re going to start a crossfit gym and like, what’re you guys like?

Jen:                                             05:39                       We’re going to start a legit gym with coaches and all of those things. Like would you guys be interested in partnering with us? And they said yes. And you know, partnership is tricky and difficult and all those things. But um, it was great because they knew the community and the connections. And so that really helped us get our foot in the door, started a tiny little space and then we moved to a bigger space. And then that was next door. And then we took over the small space again. And, and then three years later I ended up buying them out. And now just on the business, the two of us. So

Mateo:                                      06:09                       Oh, so you moved in next door to them.

Jen:                                             06:12                       So we moved in with them. So we all started the business together and then there was an open space next door that was larger. So as we grew we took that over and moved out of the small space and then like three months later took the small space over it again.

Mateo:                                      06:25                       Wow. That’s awesome. What was it like in those early days trying to run the run the ops yourselves and trying to grow and trying to also live?

Jen:                                             06:36                       It was crazy because, so I obviously we couldn’t both with having two partners also, like it wasn’t going to be possible. So I had a full time corporate job, while Kenny was running the gym. And in those early days he did everything. I mean he was the janitor. She coached 30 classes a week. We did no personal training, no nutrition, nothing. There was nothing extra. It was just him coaching and you know, I would help, I would pop in and help as I could and the nights and the weekends and things like that. I mean we painted every wall in this place. We hung every rig, we put every piece of flooring in, you know all those, all those things. That’s the true blood, sweat and tears. Right. I mean that’s how you build something. Literally six months after we started the gym I got pregnant. So we were also raising our newborn son during all of this too, which is an adventure. But look back on that and see how far we’ve come now.

Mateo:                                      07:37                       cause there are a lot of people who are thinking about opening a business or buying out an existing business. It sounds like you kind of did a hybrid where you, you partnered up with an existing business and then, but also kind of bought them out down the line. So do you have any advice for people who are considering taking on a financial partner or maybe they’re the, they’re the money behind it and they want to take on an operating partner. You have any advice for people who are thinking about doing something like that when starting their business or or maybe even halfway through their businesses lifecycle?

Jen:                                             08:11                       First call us cause we can tell you all the things we did wrong. I don’t think we really didn’t have super clear roles and tasks. So what that meant is that they were making money and Kenny was, we were also making money but we were also doing all the work and things that got tricky where like they wanted him to clock in and out for vacation time and like all these things that you would like going in with good faith in you’re thinking that everybody has each other’s best interests at heart and who really wants to think through like what your day to day is going to look like, what everybody’s piece of that puzzle is going to be. You know, all the things that we do in Two-Brain from like a regular business perspective, you know, apply that to your partnership as well. And I would actually say if you don’t have to take money, don’t like, if you can do it on your own, do it on your own. Takes longer. That’s okay. You know, we ended up spending a lot of money to buy them out, which now it’s totally worth it. We have freedom to run our business, but if we were to look back. I would have probably said we could have probably done it on our own. It would have saved ourselves a lot of hassle and a lot of,

Mateo:                                      09:24                       yeah, I think that those are all great points. I think you take on a partner when you think it’s going to buy you a little bit of speed a little bit faster. But yeah, you definitely have to do the math because you know if you’re going to end up spending that money down the line anyway.

Jen:                                             09:40                       And I will say we had a particularly difficult partner, you know, so know who you’re getting into bed with and I, this sounds so pessimistic, but expect the worst and create a plan based on the worst. And if it goes better than that, then you’re prepared.

Mateo:                                      09:55                       I think that’s good advice. Okay, awesome. So it sounds like Kenny was, was grinding, you had your hands full with your full time job in the newborn. So what was the impetus for looking into Two-Brain and Chris and signing up with the incubator?

Jen:                                             10:19                       Right. We had 150 members. You know, we weren’t making enough money to run the gym, support a full time income and you know, put money away and do all those things. And I think Kenny started to feel like, well this is great but I don’t want to build myself a job. I want to build a company. Right. And so he looked into a couple of different, business mentorship program then settled on Two-Brain with, he actually started the incubator process before I came on board in any real capacity. So Dani was our mentor, she was fantastic. And he actually went through the incubator and then we took a couple months off before we started the growth stage. Cause it’s a lot like he, we didn’t have any extra help at that point. Like, so he was trying to do the whole incubator while still coaching a ton of classes and not having any coaches that were working more than like five shifts a week.

Mateo:                                      11:12                       Yeah, I mean it takes a lot out of the incubator when I went through was just figuring out roles and tasks and hiring people and learning how to delegate. But that takes time. You know, you’re not going to find someone you know right away to start helping you. And even if you do, you know there’s training involved, there’s development and that can take time and everyone’s different where they are in their journey. You know sometimes people already have a staff of five and it’s just re re shifting the mindset of your team or you have no one like it sounds like Kenny and you didn’t have anyone. And so finding that, finding those people who can help and training them up, that all takes time. So it totally makes, especially if you’re the solo operator, to going to take a little while to get through the important work that needs to get done to get you to the next level. So, so it sounds like what, what, what was the next level Kenny was trying to get to? It sounds like you, you know, he felt this kind of dissatisfaction. I know you said that you wanted to build a business, you know, what was he trying to, what next level was he trying to get to?

Jen:                                             12:16                       Yeah, I think all of a sudden it became clear I was working outside of the business. I know, jump in and do the work. Really wanted that guidance of like, let’s just not, let’s not waste our time. Which I think is really the incredible value of what Two-Brain gives, right? From whether it’s marketing or whether it’s the, um, growth program. It’s like, here are the steps. Like, yes, you could figure this out on your own. You could do all this, you could toil away for years. You’re gonna waste a lot more money. Um, and you’re going to get really frustrated. And what do we do? We coach people so we should hire a coach, you know? And it just became really clear that that was the best way to get there the most expeditiously.

Mateo:                                      13:19                       And then what were the changes? I mean it sounds like you were able to grow the business to where you were able to quit your full time job eventually, but what else did you see? What were the changes you saw after going through the process?

Jen:                                             13:30                       Really just our mindset right, of like, and we’re still working on it. Like we’re not 100% there yet. I will say that we are still in the process of giving tasks and roles away, but it was really like what is our time best spent doing and who else can do these other things. And really it comes clear like coaching classes is not the best use of your CEO or your owners time or whatever term you’re using. So really getting a staff with people that could help us with that. Figuring out how to empower people to do their jobs and then step back, right. Processes and procedures and really having, you know, we say like if we get hit by it, both of us get hit by a bus. Like is this business going to run? Is it going to support our child? Like, now I feel confident.

Jen:                                             14:16                       I used to have, I was telling Kenny this the other day, I would have nightmares when I wasn’t involved in the business because I knew nothing. And I would think like, what happened? Like what happens if Kenny gets sick? You know? I mean, his dad died young. So that’s just a reality for us. We think about it all the time. It was like, I know nothing. Like I don’t know the books, I don’t know how to coach. I don’t know how to write programming. You know? I, it was like this business, if you were to go like would not, it would be dead. So I think that was the impetus for us to really say like, we got to create something that is beyond us.

Mateo:                                      14:51                       Yeah. That’s amazing. And I think that’s the true test, right? It’s like, can you, can you leave, can you step away from your business totally for two weeks and it not burn down. Um, and it sounds like you were able to really get to that point, which is awesome. And so I want to talk a little bit about your growth after having done some of the work in the marketing section of the incubator. Before I do that, in your own words, what is, what is it that you sell and how do you sell it?

Jen:                                             15:23                       stronger and live the best life that you can and we do that through personal training, nutrition and group classes. But what we really provided,

Mateo:                                      15:34                       wow, that might be the most concise, most thought out answer yet.

Jen:                                             15:41                       Yeah, no, it was pretty. That was pretty on point there. I love it. Okay, now, yeah, but let’s talk about that. Let’s get into the nitty gritty. So how you generate the interest to sell that, right. How do you, how do you get people in the door and then once they are coming through, once they have inquired, how do you end up selling them?

Jen:                                             16:02                       So, I mean, I think before taking the marketing course, it was basically affinity marketing. I mean we did Facebook posts every once in a while it’d be like, oh we did. I’ve always been super interested in the digital market. It felt like I remember talking to you. And so I was always like really overwhelmed and I didn’t know where to start. Um, so when we started the Two-Brain course I feel like it just gave us this really actionable roadmap of exactly what to do. And then it went from being like, oh we get a no sweat intro here and then no sweat intro there to like a consistent stream of leads and people in the door. I will say that they are not all quality, right? Yeah. Some of them suck. But I think it really helped hone my skills and learn how to handle objections, which it always like I can talk to anybody, but when it, when it came to like making the sale and asking for that, I let in Kenny too, we’d let so many people walk out the door, you know? And I think going through that course really helped me understand like how important it is. Like if someone’s taking that step to get in the door, like they want to change, you have to show them how to get there. And I think when we started taking the approach of like it’s prescriptive rather than salesy, it feels so much better. I know I kind of hopped around there, I’m not sure if that’s the answer.

Mateo:                                      17:34                       No, that’s great. And so I think you’re bringing up some good points. You know, when you pay traffic and generating leads in that way can be totally different than someone who’s referred, right? If someone who’s referred that you’re a current member who referred their friend, they, they’ve done half the selling for you already, right? When you have, when you put an ad out, it’s going to take a little bit more work on our end. But we can’t control referrals like this paid ads. Like we can control that. So I think that that’s the trade off. And uh, and I think it’s ultimately worth it. And I think you’ve, you’ve seen that too with your campaigns. And so when someone inquires, what happens?

Jen:                                             18:27                       Actually we didn’t really have, and so we actually made the decision because we were so busy, we just signed up with UpLaunch because they’ve got that dialed. It got it. We don’t, I don’t have to set up a text messaging and Zapier and all that. I can just have them do the whole thing. So, um, when someone inquires they get a text message and an email. Initially, you know, I’ve been working with like a little bit, so we’ve been playing around with how involved I am in that initial process. Usually I’ll, if they respond to a text message, then that’s when I will start to engage in the process. We don’t have a sales manager yet, so when we do, I’ll probably have that person reach out via phone. Then it would be a phone call. Right now we just don’t have the capacity to do that.

Jen:                                             19:14                       So they get text message, uh, usually, you know, if they don’t sign up for a no sweat, then I will reach out to them and try and get them to do that. But the automation helps just make that happen, which is really nice. And then they book a no sweat intro and then they will, then we’ll send them, we send a confirmation text message 24 hours before where they have to reply. Yes. That has helped. You know, there’s been a lot of talk in the group about no shows and I cannot recommend that enough. It’s like cut our no shows down by like 75% probably.

Mateo:                                      19:49                       Wow. It’s like the simplest.

Jen:                                             19:55                       thanks. You know, and we’re at a speed where the spot right now, while we’re getting pretty full, so I’m at a spot where it’s like I just want somebody that really wants to be in here and if they don’t, that’s okay. Maybe they’ll be ready down the road and we’ll continue to foster that relationship through emails and texts and all those things. I’m not, I don’t have the time to chase down 25 people a week, you know? So I want them to take that, like if they’re going to take the step to get in here, they’re more likely to show up to classes and they’re more likely to stay longer.

Mateo:                                      20:29                       Totally. And so let’s say they come in through the door. What happens?

Jen:                                             20:34                       Uh, so generally I talk with them and then I will give them a tour of the gym.

Mateo:                                      20:43                       Wow. Fancy.

Jen:                                             20:45                       A little Keurig machine. It’s not bad. I like it. But you could see it’s not fancy at all. Um, but it’s, I think that’s just like a nice step of like, Hey, can I get you a cup of coffee? I’ve had two people say yes over the years, but it’s just a way of kind of breaking the tension and then we just take a quick tour of the gym and I literally just stand in one of the rooms and kind of see, I don’t get too fancy about it. I just, that’s not really what they care about. I just want them to, yeah, I wasn’t showing people the gym and then I’d like get ready to sign somebody up and they’d be like, well, can I see the gym? And then we do that and it was weird to get them back to the desk. So I’ve just started doing that.

Mateo:                                      21:24                       Yeah, I love that. If that’s, if that’s an objection, the objection that’s overcome that at the beginning. So I like that.

Jen:                                             21:33                       Yeah, this is the gym. If you think it’s too like raw or whatever, then then it’s not going to work anyway. So and then we just sit down and we’d go through the No Sweat Intro form, you know? And I really think that’s one thing that I changed a lot is I go through every single one of those. If I think somebody who’s like kind of a halfway sold, you know, if somebody is like they walk in the door, I have crossed that experience and ready to get this done. I’ll still go through some of them, but I might not ask all the questions about like envision your life in five years or you know, those ones. So I tailor it a little bit, but for the most part I stick to that form because it opens up so much opportunity to sell and to create a plan that’s right for that person. Someone may walk in the door saying they want group classes and then have that conversation and actually their goals won’t work at all with group classes. And they definitely need to do personal training to make it work.

Mateo:                                      22:27                       Oh you guys have a private office for this too?

Jen:                                             22:29                       Well I have a private office. We have two private offices, which is great actually. So one is on the floor, but no one can walk in and out of the office. So it’s like not our front office. So I’ll use that like during a really busy times. Cause I know some of these going to walk in the front door or if it’s kind of on our off hours and I’ll use our bigger office. So the flexibility.

Mateo:                                      22:48                       Nice. So what I love about that, that first part is that you’ve given them something. And I think people, people can do that even if it’s just a bottle of water or something small. But giving them something that, it kind of establishes that reciprocity principle where you know you’re setting the stage and setting the tone, you’re offering them something. And now there may be, you know, it just, it’s kind of like sales one oh one. You know, you want to get that reciprocity thing going so that they’re feeling more inclined to offer something else in return, which I think is awesome. And I love how you have a separate place that’s quiet and you don’t have loud music and clanging and banging going on or you can have a conversation cause that’s really what it is. You’re having a conversation, which I think the prescriptive model helps you do and taking the No Sweat Intro approach helps you do?

Jen:                                             23:37                       Yeah, a lot of clients are really anxious about coming into a gym. Intimidated, intimidated by dropping weights. If they see somebody, like my 4:30 class is really athletes, right? Like if a 70 year old comes in and wants to get started, they’re probably not going to be in that class anyways. But they see that they’re going to feel like this is not the right spot for them. So I just think just being really cognizant about like how much you’re showing people, not in a bad way, just like you want to make them, you know that you’re going to create a good environment for them once they’re in the door, and I’m not going to suggest that 4:30 class to that person, but they might see it and think, well, every class is that way.

Mateo:                                      24:21                       Yeah. Regardless of how amazing your community is, the sleeve tattoos and jacked people are still like, it’s an intimidating experience regardless, you know? So you’ve come a long way, right? You went from this point where Kenny was doing wearing all the hats and the business was really only supporting him to this point where you’re able to take over multiple locations, expand your space, expand your business, pave the way to have and support a larger staff yourself included and buy out your old partners. What do you think has been the key to your success so far?

Jen:                                             24:55                       It sounds so cliche, but playing the long game and it’s so hard as a business owner, I want to be able to do the things that I think it’s really easy to take shortcuts, but for us it’s just been like one step at a time, play the long game, I know what the year looks like and I’m in a plan that something’s going to take a year. So kind of always over planning and then hoping that it goes a little bit and then taking risks. You know like when I left my job I made a great salary, big chunk of what we were living off of and so it was really scary and I just kind of had it and said, we’re just going to quit my job, actually let me go part time and then transition out. And that was really scary. But it also lit fire under us to say, this has to happen, like we have to do this. And so I think putting yourself in a little bit of an uncomfortable position and knowing that that is going to, to do the work and make the change.

Mateo:                                      26:04                       I think we’re done. Thank you so much for coming on. And then, uh, hopefully are you going to the summit? The summit.

Jen:                                             26:12                       We have a wedding to go to our former business partner is getting married. Next year for sure.

Mateo:                                      26:19                       Awesome. Well thanks for hopping on and uh, we’ll, we’re looking forward to seeing what the next year holds for you.

Jen:                                             26:25                       Thanks for all your help.

Speaker 5:                               26:28                       No worries. Hey everyone. Chris Cooper here on really thrilled to see you this year in June in Chicago at the 2019 Two-Brain summit. Every year we have two separate speaking tracks. There’s one for you, the business owner and there’s one for coaches that will help them make better, longer, more meaningful careers under the umbrella of your business. This year we’ve got some pretty amazing topics like the client success manager, how to change your life, organizational culture of the business owner’s life cycle, how to have breaks, how to have vacations, how to help your marriage survive, owning a business and motivation and leadership. How to convert more clients, how to create a GM position that runs your gym for you and leaves you free to grow your business. How to start a business owner’s group in your community and more point here is to do the right thing that will help gym owners create better businesses that will last them for the long term, get them to tinker phase, help them be more successful, create meaningful careers with their coaches and give their clients a meaningful path to longterm health. We only do one big seminar every year and that’s the Two-Brain summit and the reason that we do that is because a big part of the benefit is getting the Two-Brain community together and welcoming strangers into our midst and showing them how amazing gym ownership really can be. We’ll have a link to the Two-Brain summit including a full list of all speakers and topics on both the owners and the coaches side in the show notes. I really hope to see you there.

Greg:                                          27:57                       As always, thank you so much for listening to this podcast. We greatly appreciate you and everyone that has subscribed to us. If you haven’t done that, please make sure you do drop a link to that episode. Share with a friend and if you haven’t already, please write us a review and rate us on how what you think. If you hated it, let us know if you loved it, even better. See you guys later.

 

 

This is our NEW podcast, Two-Brain Marketing, where we’ll focus on sales and digital marketing. Your host is Mateo Lopez!

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